The automated Quantcha Trade Ideas Service has detected a promising trade opportunity for IDEX () for the 15-Sep-2017 expiration period. You can analyze the opportunity in depth over at the .
IEX was recently trading at $114.46 and has an implied volatility of 16.34% for this period. Based on an analysis of the options available for IEX expiring on 15-Sep-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $115.04-$122.20 at expiration. In this scenario, the average linear return for the trade would be 32.56%.
52 week high: IDEX recently reached a new 52-week high at $117.97. IEX had traded in the range $82.05-$115.19 over the past year.
Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if IEX maintains its current direction and does not revert back to pricing on the bearish side of $114.46 on 15-Sep-2017. If possible, the trade has been padded such that slight movement against the trade would still return a profit.
Upside potential: Using this bullish strategy, the trade would be profitable if IDEX closes at or above $114.85 on 15-Sep-2017. Based on our risk-neutral analysis, there is a 51.06% likelihood of this return.
Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.
To analyze this trade in depth, please visit the .
This is an automated post generated based on a market analysis of delayed data at 7/27/2017 12:29:17 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.